UK AD margin on Rolexes?

[Skyman]

Does anyone have an idea of the percentage? To be more specific, on a precious metal Professional model at £25k plus. Informed opinion sought!

[Chalet]

For some reason 32% sticks in my mind.

(Update) a quick Google on TRF suggests 38%

[Flasher]

For some reason 32% sticks in my mind.

(Update) a quick Google on TRF suggests 38%

Has not changed much over the years from my experience and certainly 35-40% was the figure I have been informed with.

[Dave O'Sullivan]

Maybe not specific to precious metal Rolex but I think 50% is around the 'standard' mark up on most brands.

[Flasher]

Maybe not specific to precious metal Rolex but I think 50% is around the 'standard' mark up on most brands.

Does make you think, after the AD markup to the customer, the manufacturers price to the AD, how much did it actually cost to build the Watch because the manufacturers are ensuring they make a profit.

How would we feel for example if we found out that a Speedmaster cost £300 to make, the Rolex Pepsi or Daytona cost £750! Maybe some of the lustre would fall away from a watches desirability if we knew the true cost.

[Guycord]

I did some calcs a while back to figure out the amount of Au and Pt in a Daytona vs that of an all steel version. Forget the exact numbers but a SS Daytona is IIRC 189g. The Au model is something like 290g

Resolving that you can - for equal volume resolve the Pt model and mechanism weight.

The amount of gold and platinum in these watches (inc bracelet) is actually very small £3000 worth of gold and less for Pt. After VAT, go figure the margin yourself.

[Haywood_Milton]

It is less than on many brands, while the AD has to make continual investments in window displays, advertising and shopfits that would make your eyes water. They receive too few of the models they could sell best and increasingly face aggravation and distraction from customers expecting them to supply what they cannot.

Minimum stock holdings, obligations to buy certain stock, the threat of sanction if your clients take advantage of the premiums which short supply creates for certain models.....and conflict if you take steps to prevent same.

ADs may be forgiven for questioning if it’s all worth it now.

H

[Skyman]

Thanks chaps, that is very useful information which will assist in today’s purchase.

[Devonian]

It was discussed on various forums a few years ago. From memory it dropped from 40% to around 36% or 38%.

[LeBowl]

Thanks chaps, that is very useful information which will assist in today’s purchase.

If you can negotiate a discount for the GMT I want you with me on my next purchase!

[paskinner]

My experience is that you can usually get 10% on a gold model; it used to be more but things have tightened up.

[Skyman]

My experience is that you can usually get 10% on a gold model; it used to be more but things have tightened up.

Not blue dial WG GMT you cannot, I regret to say. But you can get benefit in kind, hence the question - daughter’s wedding next year.

[paskinner]

This is where independents can be helpful. They’re not bound by ‘head office rules’ and can be flexible. Even with ‘rare’ models where there are none in the UK and they have to persuade the guys at West Malling.
Personal relations still seem to count for a lot; I suppose they do in any business.
Anyway, you can’t go wrong with that GMT. Definite ‘win’.

[Skyman]

This is where independents can be helpful. They’re not bound by ‘head office rules’ and can be flexible. Even with ‘rare’ models where there are none in the UK and they have to persuade the guys at West Malling.
Personal relations still seem to count for a lot; I suppose they do in any business.
Anyway, you can’t go wrong with that GMT. Definite ‘win’.

Thanks. Funnily enough, my go-to independent could not get near to one for over a year.